Innovation:

Here's a novel management strategy for beleaguered metro newspaper organizations — don't cut, reinvest instead. Privately-held Hearst has pursued such a program without fanfare at its five large newspapers … Read More

Tribune's broadcasting arm would likely keep the newspaper division's real estate and the company's investments in digital assets like CareerBuilder, lowering the value of The Chicago Tribune and thus any price Wrapports might pay, but the move also appears to kick a newspaper sale down the road. And the Sun-Times is losing money right now.

The biggest financial concern for the company is the hefty $70 million a year it must pay a year to Chicago Tribune to print and distribute the Sun-Times papers. While the company has explored printing alternatives, its contract with its larger rival runs for about two more years. After that, Sun-Times would have leeway to explore less expensive options, even a reduction in printing.

A variety of power players are likely thrilled to hear it. Last month, former FCC Chairman Reed Hunt gave a speech at UCLA in which he shared his thoughts on the Koch’s potential acquisition of the Times. "I'd rather have Murdoch than the Kochs own the Times, if it came down to that choice," he said. “The Koch brothers use money and media to misinform, misdirect and make miserable all of us." Just yesterday, Mayor Eric Garcetti shared a similar opinion in an interview with HuffPost Live. “I’d rather see local ownership,” he said simply.

Even so, if the advertising conditions don’t disappear more quickly and Tribune can maintain its circulation gains and cost structure, an optimist could find a way to forecast slight annual gains in profit, at least before pesky things such as interest and taxes are factored in.

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AUTHOR INFORMATION

Andrew Beaujon reported on the media for Poynter from 2012 to 2015. He was previously arts editor at TBD.com and managing editor of Washington City Paper. He's the author of the 2006 book "Body Piercing Saved My Life," about Christian rock and evangelical Christian culture.